February 9, 1994
DAR OPINION NO. 08-94
M. P. Salvatierra
Associate Executive Trustee
Asset Privatization Trust
10th Floor, BA-Lepanto Bldg.
8747 Paseo de Roxas, 1226 Makati
Metro Manila
Dear Mr. Salvatierra:
This has reference to your request for advice from DAR regarding the proposed sale by PICOP of two parcels of land with a total area of 319,966 square meters (31.9966 has.) located at Balo-i, Davao del Norte.
As gleaned from your letter, portions of said properties are declared as cocoland and PICOP is intending to offer the same for sale to the highest qualified bidder upon the condition that he shall handle the conversion of the property, including all expenses relative thereto.
Under Section 4 of RA 6657 (otherwise known as the Comprehensive Agrarian Reform Law or CARL), all lands devoted to or suitable for agriculture area subject to acquisition and distribution to qualified farmer-beneficiaries. Hence, those portions of the PICOP properties subject of your letter which are devoted to or suitable for agriculture shall be redistributed to qualified beneficiaries pursuant to CARL. It follows that said covered portions cannot be sold to persons other than CARP beneficiaries.
Anent the intention to have the properties converted, please be informed that under DAR Administrative Order No. 1, S. of 1990, no application for conversion shall be given due course if DAR has issued a Notice of Acquisition over the lands involved. Moreover, under Administrative Order No. 20, Series of 1992 of the Office of the President, all irrigated and economically irrigable lands covered by irrigation projects with firm funding commitments shall be non-negotiable for conversion. Finally, under paragraph V of said DAR A.O. 1, only the owners of the lands involved or their authorized representatives may apply for conversion.
We hope to have clarified matters for you. Attached are a copy each of DAR A.O. 1 and A.O. No. 20 for ready reference.
Very truly yours,
(SGD.) HECTOR D. SOLIMAN
Assistant Secretary
Legal Affairs Office